Regional supermarkets and hospitality businesses are at the mercy of transport costs and have no choice but to pass on costs to customers.

On Wednesday the Australian Bureau of Statistics reported that while inflation had dropped to a three-year low, fruit and vegetable prices went up by 6.3 per cent in 2024 alone. 

Soon after, NSW Farmers put a public query on why fruit and vegetable prices were not falling in line with inflation figures.

The Western Plains News App contacted supermarkets and cafes across the coverage region, and all said that the burden of transport meant fruit and veg would remain costly.

NSW Farmers’ Horticulture Committee Chair Jo Brighenti-Barnard said the big supermarkets have been quick to blame inflation for rising costs over the last couple of years, but slow to bring prices down now that inflation has dropped to its lowest point in years. 

"The data shows that consumers are still paying through the nose to put food on the table, while most farmers aren’t receiving any greater returns for what they’re growing,” Ms Brighenti-Barnard said.  

“Without price transparency, the major supermarkets are still likely to use their profit push practices, and we remain concerned they’re taking advantage of their market power – as well as other factors like shortages and seasonality of products – to extract huge profits from farmers and families alike." 

As the nation’s consumer watchdog prepares to hand down the results of its inquiry into the major supermarkets next month, Ms Brighenti-Barnard warned comprehensive reform of the nation’s competition landscape remained vital for households across the country.  

“Cost-of-living has been the catch cry of many politicians, but we need to see real change if we want to ease the pressure on farmers and families that just want to put food on the table,” Ms Brighenti-Barnard said. 

“This change must include solutions to increase price transparency and give us clear visibility of prices at the farmgate and the checkout, so we can see when profits are being sucked unfairly out of the middle.  

Hard to keep costs down – Western Plains business 

Smaller, more remote businesses say inflation aside, they have added costs to deal with that will unavoidably affect food prices.

A staff member of Khans Supa IGA in Lightning Ridge said it was difficult to offer lower priced fresh stock because of the cost of transport to reach the town.

She said a small punnet of blueberries was available for $9 but could drop to $3 per punnet at different times of the year.

And in the Walgett, another hospitality venue agreed.

“It’s very difficult to keep the cost of menu items down. Getting our fresh produce from the main centres to this neck of the woods is always going to be expensive.”

A Nyngan café owner said they bought a significant amount of fresh fruit and veg each week to service their menu, and regardless of inflation, the weekly grocery bill was always high. 

“It just seems to go up, and up. Certainly never goes down,” they said.

“It’s difficult, as a business not to pass those costs on to the customer.  You try for as long as you can, but in the end you have to make ends meet.”